Monetizing the Investor Segment

1. Monetizing the Investor
Segment
Clint Greaves – CEO Real Estate Investar
PPW Bangkok - May 2015

2. Monetizing the investor segment
• What we do
• The size of the investor segment
• What makes investors different
• Segmenting and engaging with Investors
• Monetization options
• Transaction revenues
• Questions & discussion
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3. What we do
Real Estate Investar operates a freemium model to build its audience for
premium paid subscription and transactional services
We provide real estate investors, on a subscription basis, with an integrated set
of high quality online tools to make the best property investment decisions
We partner with industry leaders in Australia and New Zealand to provide
subscribers with all of the products and services they need throughout the
property investment lifecycle
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4. Our growth approach
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Growth approach
Paying subscriptions
Referral revenues
Capture transaction revenue
Expand internationally
Overseas investors
Licensing to property portals
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2
3
4a
4b
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5. Profiling investors and sizing the opportunity
• A recent survey of REI’s subscribers* showed they currently own an
average of 3 investment properties and intend to own an average of 6
properties within 10 years (*based on 2,430 respondents)
• ~20% of subscribers responding already own 5 or more properties
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6. Integrated Product Set Refined Over 8 Years
Investar Search &
Development Search
Search engines that match investment search criteria with properties available on
the Australian / NZ market. Multiple sources.
My Valuer Estimate of the current market price for a specific residential property. Leverages
APM data and CoreLogic NZ.
My Research Suburb or regional reports covering sales trends, median prices, zoning, and
comparable sales. Leverages APM data and CoreLogic NZ.
Property Analyser Forecasting (up to 10 years) the likely capital growth and cash flow for a particular
investment property.
Portfolio Tracker & Xero Monitor investment property portfolio including income, loans, and equity position
across one or multiple entities. Integrated with Xero and APM data.
Paid subscription products
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7. Australian real estate market
• Total residential property market (ABS Census)
• 7.76m dwellings
• 2.30m rental properties or 30% of total
• Average sales per year
• 400,000+ dwelling sales
• $200b+ by value
• Monthly Investor loans (excluding refinancing) July 13 – June 14
• $8.5b – $12.0b per month
• 45% - 50% of total loans
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8. Australian property investors
• 2m+ current / aspiring property investors
• At any time 10 - 15% actively looking to purchase property
• 98% of investors own 1 - 4 properties
• In addition, these 2m+ investors all spend money on
accounting, finance, property management, depreciation
reports and other investor focused services
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9. 33-35%
33-57%
20 -32%
33%
Source: www.nationmaster.com
17-31%
40%
Global rental stock share of housing market
These numbers are only
going to get bigger
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10. Investors vs. home buyers
• Financial outcome vs. lifestyle outcome
• Search criteria different
• Information requirements different
• First hand knowledge of locations likely to be lower
• Frequency of transacting potentially higher
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Search Analyse Track Account
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11. • 34 filters
• Advanced data and analytics
• Watchlists, saved searches and
email alerts
• User profile & defaults
• Analyse 8,000 suburbs
• Globally unique
Investar Search
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12. Combine postcodes, suburbs, regions & states
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13. Search by radius or classification
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14. Automatic strategy & key word selection
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15. Members utilise 8 key strategies
1. Capital growth
2. Discount
3. Renovation
4. Positive cash flow
5. Vendor finance
6. Strata titling
7. Subdividing
8. Development
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16. Extensive property & suburb filters
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17. About the numbers, not the property
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18. Which property is the best investment?
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19. Users can set their own analysis rules
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20. Personalized loan & tax defaults
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21. Set expenses as % or dollar value
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22. Search integrates with Analyser
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23. Segmenting our audience
• Capture information of free (130k) and paid (3k)
subscriber activity
• Exchange access to further services for additional
customer information to enable further segmentation
• Customise communications and offers based on
segmentation
• Sniper vs. shotgun
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24. Some of the things we track and measure
• Report downloads
• Blog and video views
• Newsletter opens and clicks
• Webinar registrations
• Webinar attendance
• Webinar interaction
• Logins and usage of each
service
• Search volumes and types
• No. of properties analysed
and tracked
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• Investor profile
• Current ownership
• Buying intentions
• Type
• Timeframe
• Strategy
• Location
• Price
• Capacity to transact
• Barriers & challenges

25. Monetization
• User paid subscription services
• Lower cost analysis and portfolio management services
• Higher value portfolio building services
• Referral revenues (or advertising)
• Finance
• Accounting
• Property management
• Depreciation reports
• Education
• Insurance
• Transactional revenues
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26. Capturing transaction revenues
Levels of involvement:
1. None - you can’t (or won’t) do it
2. Generate leads on cost per
qualified lead basis
3. Generate leads on cost per
closed transaction basis
4. Manage and close out the
transaction
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$500 - $1,500
$5,000 - $12,000
$20,000 +
$0

27. • 20,000+ listings from 200
projects Australia wide
• Units and Houses
• Advanced data and
analytics
• Watchlist and comparison
tools
Development Search
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28. Project plans and documents
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29. Individual dwelling financials
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30. Easy comparison of KPI’s
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31. Stock availability – live reserve option
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32. Lead generation on cost of closed transaction
• Partner Duplex offer in April:
• 2 EDM’s to our subscriber list
• 870 webinar registrations
• 440 webinar attendees
• 56 registrations of interest
• 17 current opportunities
• ~10 closed transactions
• Deeper knowledge of all 870 customers
• Future transaction opportunities
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33. Summary
• The investor segment is:
• Large
• Valuable
• Different
• Provide relevant search capabilities and information
• Measure everything you can
• Segment and communicate / interact based on what
you learn
• Work out how best to monetize based on your audience
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34. Questions & discussion
Clint Greaves – CEO Real Estate Investar
clint@realestateinvestar.com.au
www.realestateinvestar.com.au